WWE Slashes Severance Pay Policy, Morale Reportedly Hit Hard – WWE has enacted a major change to its severance policy, aligning it with the standards of its parent company, TKO Group Holdings. According to a report from PWInsider, a memo was issued to company employees on Friday afternoon announcing the immediate implementation of the new policy.
The update brings an end to WWE’s long-standing severance structure, which previously offered one month of severance pay for each year of service. The revised policy now reduces that to just two weeks of severance per year of employment—a significant cut that effectively halves the previous benefit.
Additionally, PWInsider noted that the new system introduces capped severance payouts based on an employee’s position within the company. Specific figures regarding these caps were not detailed in the memo or the report.
Internally, the change has reportedly been met with frustration and disappointment. Morale is said to have taken a substantial hit, especially among longtime employees who had been relying on the old severance protections. The new policy has caused particular concern among staff who are now expected to work across multiple brands under the TKO banner, including WWE, UFC, and PBR. Many of these employees had previously focused solely on WWE prior to the company’s acquisition.
This move is the latest in a series of corporate adjustments following WWE’s merger with UFC under the Endeavor umbrella to form TKO Group Holdings last September. Since then, the company has carried out multiple rounds of layoffs and a widespread restructuring effort aimed at streamlining operations between the two combat sports entities.
The decision to downgrade severance terms is being viewed by many inside the organization as another example of corporate consolidation at the expense of employee security, especially given the added workloads and reduced protections now in place.
WWE Slashes Severance Pay Policy, Morale Reportedly Hit Hard
